Indian New-Age Tech Stocks Shed $11 Billion in Broad Market Sell-Off

Market Downturn Impacts Tech Sector

New-age technology stocks in India erased more than $11 billion in combined market capitalization this week as investors retreated amid broader market weakness. Of the 67 stocks tracked by Inc42, 63 companies experienced share price declines ranging from 1.03% to 24.5%.

Swiggy led the decline, with shares falling 24.5% to close at ₹176.70. The drop followed the company’s second-quarter fiscal year 2027 results, which revealed rising losses within its quick commerce division, Instamart. The stock reached an all-time low during intraday trading on Thursday.

Twelve other companies, including Yatra, FirstCry, and IndiaMART InterMESH, reached new 52-week lows during the holiday-shortened trading period. Other notable decliners included Ola Electric, Paytm, and Lenskart. The combined market capitalization for the 67 tracked firms fell to $149.2 billion.

New Listings and Regulatory Developments

Two companies, Zetwerk and Tonbo Imaging, made their public market debuts this week. Both stocks faced downward pressure after listing, ending their sessions 13.02% and 2.44% below their BSE listing prices, respectively. These additions brought the total number of tracked new-age tech stocks to 69, with a combined market capitalization of $152.32 billion, representing approximately 3.2% of the total BSE-listed market value.

Corporate activity remained active despite the market volatility:

• Eternal: The company reported a 92% year-over-year increase in net profit for the second quarter. It also announced plans to merge portfolio company AdOnMo with Mygate, expecting to retain a 4.4% stake.
• Unicommerce: The ecommerce SaaS firm reported an 11% year-over-year rise in consolidated net profit to ₹6.4 crore, while operating revenue grew 15% to ₹59.1 crore.
• Regulatory Action: The Central Consumer Protection Authority took enforcement action against seven ecommerce platforms, including IndiaMART and Justdial, regarding the sale of unauthorized hazardous explosives, resulting in the removal of 3,940 listings.
• ideaForge: The drone manufacturer ended its joint venture agreement with US-based First Breach Inc. due to missed deadlines.